OpenAI eyes world's largest valuation for private company in stock sale talks
Briefly

OpenAI is negotiating a share sale valued at $6bn, which may increase its overall valuation to $500bn, nearing Tesla's valuation. The company has experienced rapid growth, increasing from $157bn last year to $300bn in March due to significant investments from firms like Microsoft and SoftBank. If the valuation reaches $500bn, OpenAI would surpass SpaceX. The anticipated sale targets firms already invested in OpenAI. Despite advancements, the latest AI model, GPT-5, has faced criticism for declining writing quality and a lack of personality, and the pursuit of artificial general intelligence continues.
OpenAI is in talks to sell $6bn in shares, boosting its valuation to $500bn, near half of Tesla's worth. Investors like Microsoft and SoftBank have contributed at least $40bn, raising its valuation from $157bn last year to $300bn in March.
If OpenAI reaches a $500bn valuation, it would surpass SpaceX, the current leader of privately held companies at $350bn. The anticipated share sale includes firms already invested in OpenAI: SoftBank, Dragoneer Investment Group, and Thrive Capital.
Despite the significant investment in AI, OpenAI's GPT-5 received a lukewarm reception due to perceived declines in writing quality and personality compared to previous models.
Sam Altman, CEO of OpenAI, stated the company is working toward artificial general intelligence. He noted that while GPT-5 shows general intelligence, it is not yet capable of continuous learning.
Read at www.theguardian.com
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